You are provided with the following information for DL Traders for the year ended 30 September 2021. DL Traders is not registered for VAT and uses a periodic inventory system. The inventory balance on 1 October 2020 was R28 000. Total cash inventory purchases for the year amounted to R54 000. The purchases column in the creditors journal had a total of R166 000 for the year. The creditors allowance journal reflected purchase returns of R12 000 for the year. Carriage on purchases amounted to R6 200 for the year. Custom duties and import tariffs of R2 000 and R5 700 respectively were incurred for the year. Carriage on sales amounted to R115 000 for the year. The inventory balance on 30 September 2021 was R14 500. Required: Calculate the cost of sales for DL Traders for the year ended 30 September 2021.

You are provided with the following information for DL Traders for the year ended 30 September 2021. DL Traders is not registered for VAT and uses a periodic inventory system. The inventory balance on 1 October 2020 was R28 000. Total cash inventory purchases for the year amounted to R54 000. The purchases column in the creditors journal had a total of R166 000 for the year. The creditors allowance journal reflected purchase returns of R12 000 for the year. Carriage on purchases amounted to R6 200 for the year. Custom duties and import tariffs of R2 000 and R5 700 respectively were incurred for the year. Carriage on sales amounted to R115 000 for the year. The inventory balance on 30 September 2021 was R14 500. Required: Calculate the cost of sales for DL Traders for the year ended 30 September 2021.

Name: You are provided with the following information for DL Traders for th
Uploaded: 2024-03-20T06:32:37.000Z
Channel: Bartleby
Description: You are provided with the following information for DL Traders for the year ended30 September 2021. DL Traders is not registered for VAT and uses a periodicinventory system.The inventory balance on 1 October 2020 was R28 000.Total cash inventory pur

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Take me to the text Suppose that on June 20, 2021, both Company A and Company B sold inventory with a cost of $32,600. The updated balance of inventory as at June 1 for both companies was $110,600. Company A uses the perpetual inventory system. Company B uses the periodic inventory system and performs an inventory count at the end of each month. What is the value of inventory as at June 20 for each company? Do not enter dollar signs or commas in the input boxes. Company Inventory System Value of Inventory on June 20 $ 65000 A B Check Perpetual Periodic $40900 I
Africa Traders is a registered VAT vendor and uses a Perpetual inventory system. Africa Traders buys and sells furniture and equipment to customers for cash or on credit. On 24 February 2021, Africa Traders issued a debit note and returned a portable air conditioner that was purchased on credit from RG wholesalers for a total amount of R5 199 (excluding VAT). Upon the receipts of the debit note and a Portable air conditioner on the 24 February 2021, RG wholesalers issued the following credit note: RG WHOLESALERS 7 Smart Street P O Box 3336 PRETORIA VAT registration number PRETORIA 0001 Tel (012) 429–3931 2277227756 Fax (012) 429–3424 Date: 24 February 2021 CREDIT NOTE No: 5859 To: Africa…
Golden Furniture in Muscat follows periodic inventory method. The business Purchased Merchandise 100 study table at a cost of OMR 70 each under the terms of 3/20 n/60 on 1st March 2019. Golden Furniture discovers that 40 study table are office table. Therefore the business returns to the supplier for a full refund on 12th March 2019. Which of the following double entry will be correct assuming that the business paid to the supplier on 31st March 2019? a. Debit : Accounts payable RO 4200 Credit: Cash RO 4200 b. Debit : Accounts payable RO 4200 Credit: Cash RO 4074 Credit Purchase discount RO 126 c. Debit : Merchandise inventory RO 7000 Credit: Accounts payable RO 7000 d. Debit : Accounts payable RO 2800 Credit: Merchandise inventory RO 2800
Items to Be Included in Inventory As the auditor of Hayes Company forthe year ended December 31, 2019, you found the following transactionsoccurred near its closing date: 1. Merchandise received on January 8, 2020, and costing $800 wasrecorded as inventory on January 8, 2020. An invoice on handshowed the shipment was made FOB shipping point on December31, 2019. Because the merchandise was not on hand at December31, 2019, it was not included in the 2019 inventory balance. 2. A product costing $600 was in Hayes's shipping room when thephysical inventory was taken. It was not included in the inventorybecause it was marked "Hold for customer's shipping instructions." Investigation revealed that the customer's order was datedDecember 18, 2019 but that the case was shipped and the customer billed on January 10, 2020.3. A machine, made to order for a customer, was finished onDecember 31, 2019, The customer had inspected it and wassatisfied with it. The customer was billed in full for $2,000…
SHOW COMPUTATIONyou found the following information relating to certain inventory transactions from your observation of the client’s physical count and review of sales and purchases cutoff: a. Goods costing P180,000 were received from a vendor on January 3, 2021. The goods were not included in the physical count. The related invoice was received and recorded on December 30, 2020. The goods were shipped on December 31, 2020, terms FOB shipping point.b. Goods costing P200,000, sold for P300,000, were shipped on December 31, 2020, and were received by the customer on January 2, 2021. The terms of the invoice were FOB shipping point. The goods were included in the ending inventory for 2020 and the sale was recorded in 2021.c. The invoice for goods costing P150,000 was received and recorded as a purchase on December 31, 2020. The related goods shipped FOB destination were received on January 2, 2021 but were included in the physical inventory as goods in transit.d. A P600,000 shipment of…
Slinky Company purchased inventory on June 10, 2024, at a price of $22,000, subject to credit terms of 2/10, 1/30. Slinky uses the net method for recording purchases and uses a perpetual inventory system. Required: 1. Prepare the journal entry to record the purchase. 2. & 3. Prepare the journal entries to record the appropriate payment if the entire invoice is paid on June 18, 2024 and July 8, 2024. Complete this question by entering your answers in the tabs below. Req 1 Prepare the journal entries to record the appropriate payment if the entire invoice is paid on June 18, 2024 and July 8, 2024. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Req 2 and 3 View transaction list Journal entry worksheet
Slinky Company purchased inventory on June 10, 2024, at a price of $20,000, subject to credit terms of 2/10, 1/30. Slinky uses the net method for recording purchases and uses a perpetual inventory system. Required: 1. Prepare the journal entry to record the purchase. 2. & 3. Prepare the journal entries to record the appropriate payment if the entire invoice is paid on June 18, 2024 and July 8, 2024. Complete this question by entering your answers in the tabs below. Req 1 Req 2 and 3. Prepare the journal entry to record the purchase. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet < 1 Record the purchase of merchandise subject to credit terms 2/10, n/30. Note: Enter debits before credits. Date June 10, 2024 Record entry General Journal Clear entry Debit Credit View general journal
An entry to record Purchases and related Accounts Payableof $13,000 for merchandise purchased on December23, 2018, was recorded in January 2019. This merchandisewas not included in inventory at December 31, 2018. Whateffect does this error have on reported net income for2018? What entry should be made to correct for this error,assuming that the books are not closed for 2018?
On January 13, 2021, BlossomCorporation discovered that goods in transit from a supplier of $114,150 with terms FOB shipping point were not included in the inventory count at the end of the year, December 31, 2020, although the purchase had been recorded in the accounting records. The goods were shipped on December 29, 2020 and received by Blossom on January 10, 2021. Prepare any correcting journal entry required, assuming Blossom uses a periodic inventory system, the books are closed for 2020 and ignore any income tax effects. (Credit account
prepare following journal for july 2021 -debtors journal
Emerald Corp. had total inventory of $65,000 at the beginning of February 2020. On February 2, it purchased inventory from a seller for $22,500 on credit with terms 2/15, n/30. Emerald received goods on February 10 and paid the total amount due on February 14. There were no other transactions during the month. Assuming a perpetual inventory system, what would be the cost of inventory at the end of February? =65000+22500(2%) =$64540 Steel Inc. was incorporated on January 1, 2019. At the end of 2019, it reported the following information for its first year of operations: net earnings $17,500, dividends $8,100, and contributed capital $180,000. At the end of 2020, it reported the following information: net earnings $28,000, dividends $11,000, and contributed capital $230,000. What was retained earnings at the end of 2020? 2019=0+17500-8100 =9400 2020=9400+28000-11000 =$25400
As of January 1, 2020, Sandhill Inc. adopted the retail method of accounting for its merchandise inventory. To prepare the store's financial statements at June 30, 2020, you obtain the following data. Inventory, January 1 Markdowns Markups Markdown cancellations Markup cancellations Purchases Sales revenue Purchase returns Sales returns and allowances (a) Cost $28,100 94,560 2,900 Selling Price $43,500 11,000 9,200 6,000 3,000 153,800 154,200 3,900 7,500 Compute Sandhill's June 30, 2020, inventory under the conventional retail method of accounting for inventories. (Round ratios for computational purposes to O decimal places, e.g. 78% and final answer to O decimal places, e.g. 28,987.) Inventory under the conventional retail method $